The Small Business Administration (SBA) is cutting ties with 154 small businesses under its 8(a) Business Development Program after finding those firms did not meet certain eligibility criteria, the agency said on Feb. 11.
The 8(a) program is designed to help small businesses facing social and economic disadvantages gain access to federal contracting opportunities while receiving special assistance and mentorship.
The SBA said that 154 of those small businesses failed the economic disadvantage eligibility requirement and “exceeded statutory net worth limits, adjusted gross income caps, or total asset limits.”
“Collectively, these firms received nearly $1.3 billion in 8(a) set-aside and sole-source contracts during the Biden Administration, from Fiscal Year 2021 to 2024,” SBA said in a press release.
Those businesses will be placed under a 30-day suspension before they…